Deutsche Wohnen SE — Investor Presentation 2021

May 12, 2021

Deutsche Wohnen SE

Q1 2021 results Conference Call 12 May 2021

Agenda

01	Highlights
02	Market and Portfolio
03	Financials and Outlook
04	Appendix

Highlights

deutsche-wohnen.com Q1 2021 Berlin, Hufeisensiedlung, UNESCO World Heritage

Highlights

Operating Business	▪ Federal constitutional court ruling on Berlin rent freeze brings back legal certainty on rent regulation ▪ Adj. EBITDA of EUR 208.6m (+11.1% yoy) ▪ FFO I of EUR 154.8m (+8% yoy, 12.5% per share) on track to reach 2021 guidance ▪ EPRA NTA of 52.50 EUR per share (+1.1%)
Development business	▪ EUR 7bn new development pipeline with c. 18k residential units focused on top 8 cities in Germany, thereof c. 9k units as "build-to-hold" on Deutsche Wohnen's balance sheet ▪ EUR 400-500m expected investment volume in 2021
ESG	▪ Latest sustainability report published in April 2021 ▪ Clearly defined path to become climate neutral by 2040 ▪ Deutsche Wohnen's social engagement goes far beyond legal requirements (e. g. implementation of EUR 30m Corona relief fund, no rental increases during Corona pandemic, adherence to our "promise to tenants") ▪ ESG anchored in remuneration system for management board proposed to AGM on 1st June 2021
Capital structure	▪ Successful issance of EUR 1bn green bonds underlying the ESG strategy ▪ Average maturity of 15Y ▪ Average interest rate of 0.9% p.a. ▪ Conservative capital structure with 37.3% LTV ▪ Average tenure of 7.4 years at average interest cost of 1.2% p.a. pro-forma of green bond issuance

Decision on Berlin rent cap creates legal certainty

Federal Constitutional Court declared Berlin rent cap incompatible with constitution

• We will handle settlements with greatest possible social responsibility
• ‒ Deutsche Wohnen offers a whole range of options for settling the balance of the rent due: one-off payments, instalment payments or deferments
• ‒ In cases of social hardship, Deutsche Wohnen will find individual solutions together with the tenants
• Overview of subsequent claims
• ‒ Applies to approx. 60,000 of Deutsche Wohnen tenants
• ‒ Average claim at EUR 430 in total, 80% of affected tenants face claims of less than EUR 500 in total
• Our approach is fully in line with the Association of Berlin-Brandenburg Housing Companies (BBU)
• ‒ Deutsche Wohnen is part of the initiative social housing sector of the BBU, which represents around 44 percent of Berlin's housing stock
• ‒ Deutsche Wohnen will continue to engage in dialog with politicians and, in particular, the Berlin senate in order to achieve a relaxation on the housing market
• ‒ We continue to stand by our promise to tenants, which is unique in the industry to date
• New Berlin rent index 2021 published with inflation adjustment of 1.1% on Berlin rent index 2019
• ‒ Despite the fact, that the latest rent index has not been signed by the BBU, Deutsche Wohnen will follow latest adjustments to contribute to an overall easing of the housing situation in Berlin
• ‒ Deutsche Wohnen decided to not apply any rent increases in 2021

▪ Our promise:"No Deutsche Wohnen tenant will lose his/her home as a result of the Federal Constitutional Court's ruling"

Market and Portfolio

deutsche Berlin, Headquarter, Mecklenburgische Straße -wohnen.com Q1 2021

Portfolio focused on Germany's top 8 cities

Strategic cluster	Residential units (#)	% of total (measured by	In-place rent (EUR/sqm/month)	Fair value (EUR/sqm)	Multiple in-place rent	Multiple re-letting rent	Vacancy (in %)
31/03/2021		fair value)			(x)	(x)
Core+	144,009	96%	7.19	2,778	31.6	24.9	1.5%
Core	10,379	4%	6.21	1,520	20.5	18.5	2.1%
Non-core	218	<0.1%	5.94	1,141	15.9	19.5	1.8%
Total	154,606	100%	7.12	2,687	31.0	24.6	1.6%
Thereof Greater Berlin	113,542	76%	7.09	2,858	32.7	25.3	1.1%

▪ In-place rent already reflects normalized rent levels after unconstitutionality of Berlin rent freeze law

1) CBRE based on empirica-systeme Marktdatenbank by Value AG, please note limited comparability with Deutsche Wohnen data due to location and quality

Total like-for-like development 1.3%

Like-for-like 31/03/2021	Residential units (#)	In-place rent 31/03/2021 (EUR/sqm/month)	In-place rent 31/03/2020 (EUR/sqm/month)	Change (y-o-y)	Vacancy 31/03/2021 (in%)	Vacancy 31/03/2020 (in%)	Change (y-o-y)
Core+	141,744	7.18	7.09	1.3%	1.5%	1.7%	(0.2) pp
Core	10,125	6.19	6.10	1.4%	2.1%	2.5%	(0.4) pp
Total	152,087	7.11	7.02	1.3%	1.6%	1.7%	(0.1) pp
Thereof Greater Berlin	112,750	7.08	6.99	1.2%	1.1%	1.3%	(0.2) pp

• Like-for-like rental growth at 1.3% for total portfolio, mainly driven by re-letting
• Tenant churn stable at c. 7% in total portfolio and c. 6% in Berlin

Ongoing investments into the portfolio and new construction

		Q1-2021	Q1-2020
	EUR m	EUR/ sqm1	EUR m	EUR/ sqm1
Maintenance (expensed through p&l)	20.8	8.56	21.0	8.26
Refurbishment (capitalized on balance sheet)	40.2	16.54	50.2	19.75
Subtotal	61.0	25.10	71.2	28.01
New construction2	53.8		7.2
Total	114.8		78.4

▪ Capitalized investments expected to reach normalized levels after unconstitutionality of Berlin rent freeze law and overall improvement of pandemic situation

1) Annualized figure, based on quarterly average area; 2) Excluding proportionate purchase prices

Financials and Outlook

Stable letting business

in EUR m	Q1 2021	Q1 2020
Income from rents (rental income)	218.0	210.6
Income relating to utility/ancillary costs	97.0	107.3
Income from rental business	315.0	317.9
Expenses relating to utility/ancillary costs	(95.7)	(105.5)
Rental loss	(3.9)	(2.6)
Maintenance	(20.8)	(21.0)
Others	(1.5)	(2.4)
Earnings from Residential Property Management	193.1	186.4
Personnel, general and administrative expenses	(13.4)	(14.3)
Net Operating Income (NOI)	179.7	172.1
NOI margin in%	82.4	81.7
NOI in EUR/sqm/month	6.16	5.64

Including rental claims of EUR 21.9m due to the invalidity of the Berlin rent freeze. Rental loss increase mainly due to rise in impairment losses of EUR 1.5m relating to payment claims in conjunction with the invalidity of the Berlin rent freeze

▪ NOI margin slightly increased as Berlin rent freeze law was abolished retroactively and Q1 incorporates full impact

Disposal business continues to perform well

Disposals		Privatization	Institutional	sales		Total
with closing in	Q1 2021	Q1 2020	Q1 2021	Q1 2020	Q1 2021	Q1 2020
No. of units	71	104	869	319	940	423
Proceeds (EUR m)	15.2	22.7	127.4	32	142.6	54.7
Book value (EUR m)1	11.8	17.4	111.4	26.7	123.2	44.1
Price in EUR per sqm (residential)	3,271	2,870	2,139	1,468	2,221.0	1,842.0
m)1 Earnings (EUR	2.5	3.3	15.1	1.5	17.6	4.8
Gross margin	29%	31%	14%	20%	16%	24%
Cash flow impact (EUR m)	14.1	20.3	114.0	27.0	128.1	47.3

▪ Average privatization price in Berlin continues to increase, in Q1 average reached EUR 3,600 per sqm

▪ With 535 units majority of institutional sales in Q1 stems from disposal to degewo, a state-owned housing company, signed end of 2019

Note: Table only considers disposals that had transfer of titles in Q1 2021; 1) Earnings from Disposals are reported before disposal induced valuation gains

Nursing business proves resilient

Operations (in EUR m)	Q1-2021	Q1-2020
Total income	61.0	56.3
Total expenses	(56.6)	(52.9)
EBITDA operations	4.4	3.4
EBITDA margin	7.2%	6.0%
Lease expenses	7.2	6.7
EBITDAR	11.6	10.1
EBITDAR margin	19.0%	17.9%
Assets (in EUR m)	Q1-2021	Q1-2020
Lease income	15.9	18.0
Total expenses	(0.7)	(0.8)
EBITDA assets	15.2	17.2
Operations & Assets (in EUR m)	Q1-2021	Q1-2020
Total EBITDA	19.6	20.6

in EUR m	Q1-2021	Q1-2020
Nursing & Assisted Living	50.2	51.6
Other	10.8	4.7
The increase in other income includes compensation of EUR 5.1m from nursing care funds for loss of income and additional expenses as a result of the coronavirus pandemic
in EUR m	Q1-2021	Q1-2020
Staff	(37.4)	(35.5)
Rent/lease (inter-company)	(7.2)	(6.7)
Other	(12.0)	(10.7)
Decrease in EBITDA due to disposals of 13 nursing facilities in 2020

▪ Despite disposal of 13 nursing facilities in 2020 Nursing & Assisted Living is expected to contribute around EUR 70m to group EBITDA in 2021 translating into RoCE of ~6%

Adjusted EBITDA growth of 11% yoy

in EUR m	Q1-2021	Q1-2020
Earnings from Residential Property Management	193.1	186.4
Earnings from Disposals	(1.2)	(4.1)
Earnings from Nursing and Assisted Living	19.6	20.6
Corporate expenses	(24.8)	(28.2)
Other operating expenses/income	11.1	(18.8)
EBITDA	197.8	155.9
One-offs	(8.0)	23.0
Valuation gains due to disposals	18.8	8.9
Adj. EBITDA (incl. Disposals)	208.6	187.8
Earnings from Disposals	1.2	4.1
Valuation gains due to Disposals	(18.8)	(8.9)
Corporate expenses for Disposals	0.8	0.8
Adj. EBITDA (excl. Disposals)	191.8	183.8

1) Cost ratio defined as corporate expenses divided by gross rental income and lease revenues, whereas corporate expenses are excluding corporate expenses for disposals; 2) Defined as EBITDA (adjusted) excluding disposals divided by rental and lease income

FFO I per share up by 13%

in EUR m	Q1-2021	Q1-2020
EBITDA (adjusted)	208.6	187.8
Earnings from Disposals (incl. valuation gains)	1.2	4.1
Valuation gains due to disposals	(18.8)	(8.9)
Corporate Expenses for Disposals	0.8	0.8
Long-term remuneration compensation (share based)	(0.2)	0.0
Finance lease broadband cable network	0.8	0.8
At equity valuation	0.8	0.5
1 Interest expense/income (recurring)	(29.5)	(31.5)1
Income taxes	(6.5)	(8.9)
Minorities	(2.4)	(2.4)
FFO I	154.8	142.31
Earnings from Disposals (incl. valuation gains)	17.6	4.8
Corporate expenses for Disposals	(0.8)	(0.8)
At equity valuation	(4.6)	0.0
Income taxes related to Disposals	(4.6)	(2.8)
FFO II	162.4	143.51
outstanding2 Weighted avg. number of shares in m	343.77	354.53
FFO I per share in EUR	0.45	0.401
FFO II per share in EUR	0.47	0.401

FFO I per share and dividend development in EUR

0.41 0.40 0.45 Q1 2019 Q1 2020 Q1 2021 FFO I per share (2)% +13% % change yoy

1) Prior year figures changed according to IAS 23 policy change 2) Excluding own shares; 3) FFO I margin defined as FFO I divided by rental and lease income

EPRA NTA at EUR 52.50 per share in Q1 2021

in EUR m	31-Mar-2021 EPRA NTA	31-Dec-2020 EPRA NTA	EPRA NTA per share (diluted) in EUR
Equity (before non-controlling interests)	13,596.3	13,391.7
Hybrid Instruments	0.0	0.0
Diluted NAV	13,596.3	13,391.7	46.46		+12%	51.91	+1%
Revaluation of trading properties	39.2	43.9
Diluted NAV at Fair Value	13,635.5	13,435.6
Deferred taxes (net)	4,733.2	4,711.8
Fair values of derivative financial instruments	42.0	54.7
Goodwill as per the IFRS balance sheet	(319.6)	(319.7)	31-Dec-2019			31-Dec-2020
Intangibles as per the IFRS balance sheet	(36.7)	(38.0)
NAV	18,054.4	17,844.4
Fully diluted number of shares	343.87	343.77
NAV per share in EUR (diluted)	52.50	51.91

• Deutsche Wohnen makes no use of the option to add back any purchaser's cost
• Next revaluation is expected for year end 2021

Diversified and robust capital structure

Rating	▪ A– (negative outlook)/ ▪ A3 (negative outlook)
Ø maturity	▪ ~ 6.7 years, pro-forma green bonds at 7.4 years
% secured bank debt	▪ 57%
% unsecured debt	▪ 43%
Ø interest cost	▪ ~ 1.2% (~ 90% hedged)
LTV target range	▪ 35–40%

¹ As of 31 March 2021; the new issue of the EUR 1 bn green bonds is not included

• Introduction of a Green Financing Framework to raise funding through a range of green financing instruments (i.e. bonds, loans, commercial papers, etc.).
• Successful placement of the first green bonds in the amount of EUR 1 billion with an average term of 15 years and a coupon of 0.90%
• LTV at 37.3%
• ICR (adjusted EBITDA excl. disposals/net cash interest) ~5.8x

Guidance 2021 reiterated

FFO I (EUR m)	▪ Stable at 2020 level (2020: EUR 544m)
Adj. EBITDA (ex disposals)	▪ Stable at 2020 level (2020: EUR 704.8m)
EBITDA Nursing & Assisted Living	▪ EUR 70m (accounting for disposal of 13 nursing facilities in 2020)
LTV	▪ 35–40% LTV target range
Disposals	▪ Disposals of at least EUR 300m with additional disposals on an opportunistic basis envisaged ▪ Double digit gross margin expected
Investments into the portfolio	▪ EUR 400m in the existing portfolio (thereof c. 25% maintenance) ▪ EUR 400–500m new construction
Suggested dividend	▪ Constant pay-out ratio of 65% of FFO I

Guidance 2021

▪ Guidance included effects of unconstitutionality of Berlin rent freeze law

Appendix

Update on Berlin rent index 2021

• New rent index based on 1.1% CPI indexation of last rent index 2019 (different methodology applied as Berlin rent freeze law did not allow to collect local comparable market rents data as in previous rent indices)
• Limited drafting opportunities led to indexation, as a consequence and in contrast to history BBU did not sign Berlin rent index
• However Berlin rent index provides a solid and legally safe opportunity in shaping rental contracts, landlords are expected to adhere to it
• To contribute to an easing of the tense market situation in Berlin, especially in times of the pandemic, Deutsche Wohnen refrains from rent increases in 2021

¹⁾ Source: Senate administration for urban development Berlin, 2) Source: Statistical office Germany

Continued attractive market fundamentals

• Despite compressing residential yields, risk premium remains stable

▪ Interest rates remain low for longer ▪ Supply demand gap continues to persist

▪ Based on average 65sqm apartment size housing cost ratio across Deutsche Wohnen's metropolitan regions mostly below 30%

1) Average NIY for multi-family homes for top 7 German cities (let at market, incl. vacancy at market) according to CBRE; 2) Affordability based on average household income in coresponding cities according to Michael Bauer 2020, assumption average apartement size of 65sqm and average market rent according to CBRE in 2020 assumed EUR 3.00 per sqm ancillary costs

Ownership structure of residential real estate in Germany and Berlin

Development of land prices and building permits in Berlin

▪ Many investors have put new development projects on hold in light of recently introduced rent regulation in Berlin

▪ Pressure on housing market increasing

Source: Senate administration for urban development Berlin, Statistical office Berlin-Brandenburg

Update on Berlin residential market

2,296 2,647 2,986 3,119 3,267 3,459 2016 2017 2018 2019 2020 Q1 2021 for multi-family-homes (EUR/sqm) 9% 5% 1% –3% 3% 12% 12% 10% 7% 6% 15% 13% 5% 5% 6%

Development of asking prices

• Slight increase due to court decision against Berlin rent freeze
• Price growth for multi family remains stable at a low level

▪ Price growth for condominiums continues

Current level of rents and prices in top German cities

▪ Relative to other German cities Berlin continues to screen attractive

1) Source: CBRE

Like-for-like development by regions

Like-for-like 31/12/2020	Residential units (#)	In-place rent1 31/03/2021 (EUR/sqm)	In-place rent1 31/03/2020 (EUR/sqm)	Change (y-o-y)	Vacancy 31/03/2021 (in %)	Vacancy 31/03/2020 (in %)	Change (y-o-y)
Core+	141,744	7.18	7.09	1.3%	1.5%	1.7%	(0.2)pp
Greater Berlin	112,750	7.08	6.99	1.2%	1.1%	1.3%	(0.2)pp
Dresden/Leipzig	9,375	6.33	6.18	2.4%	3.3%	2.8%	0.5pp
Frankfurt	9,577	8.90	8.80	1.2%	3.1%	1.5%	1.6pp
Hanover/Brunswick	5,912	6.49	6.38	1.7%	2.4%	1.1%	1.3pp
Cologne/Düsseldorf	2,513	9.30	9.21	1.0%	3.4%	4.4%	(1.0)pp
Other Core+	1,617	9.16	9.07	1.0%	1.0%	0.4%	0.6pp
Core	10,125	6.19	6.10	1.4%	2.1%	2.5%	(0.4)pp
Non-Core	218	5.94	5.89	1.0%	1.8%	2.0%	(0.2)pp
Total	152,087	7.11	7.02	1.3%	1.6%	1.7%	0.1pp

Fair Values across regions

Regions	Residential units (#)	FV 31/03/2021 (EUR m)	FV 31/03/2021 (EUR/sqm)	Multiple in-place rent 31/03/2021	Multiple re-letting rent 31/03/2021	Multiple spread
Core+	144,009	25,034	2,778	31.6	24.9	6.7
Greater Berlin	113,542	19,940	2,858	32.7	25.3	7.4
Dresden/Leipzig	10,580	1,809	2,344	30.9	26.3	4.6
Frankfurt	9,582	1,799	2,988	28.5	23.1	5.4
Hanover/Brunswick	5,913	684	1,720	21.6	19.0	2.6
Cologne/Düsseldorf	2,774	550	3,352	31.1	26.3	4.8
Other Core+	1,618	252	2,545	23.2	21.4	1.8
Core	10,379	1,039	1,520	20.5	18.5	2.0
Non-Core	218	16	1,141	15.9	19.5	(3.6)
Total	154,606	26,089	2,687	31.0	24.6	6.4

Deutsche Wohnen's residential portfolio is best-in-class

The Berlin portfolio at a glance

Portfolio structure – characteristics meeting strong demand

Deutsche Wohnen – ideally positioned to benefit from the existing megatrends and committed to ESG concerns

remuneration (LTI)

▪ ~ 62% of our units perform better than average residential property in Germany

• "Promise to our tenants"
• Affordable housing

Key strategic challenges for the German residential real estate industry for the next decades

Carbon footprint of Deutsche Wohnen 2020

Mission climate neutrality

The two key fields of action

• 1. Reducing energy consumption
• 1. Increasing renewable energies & on-site power generation

2040 Climate neutrality Deutsche Wohnen

Impact on the goal of climate neutrality

CO²

-reduced heat and power generation Energetic refurbishments

Climate-friendly new construction Green power Building automation

CO² target path until 2040

1) The climate path shown is calculated on the basis of the CO² technology tool provided by the Initiative Wohnen 2050 (IW.2050) and does not include nursing homes. This is used across the industry as the basis for setting a climate target path for housing companies. The target range of < 12 kg CO2e/sqm is derived from the available carbon budget for the sector and iis considered by the industry to be an acceptable level of carbon emissions to achieving climate neutrality in the property sector. 2) This figure represents the theoretical carbon intensity per sqm of a given product cluster of a standard house with construction-period standards.

EUR 1.5 bn investments in energetic refurbishment of existing buildings until 2040

Investment Criteria	Portfolio	Action
Tenant affordability		▪ Basement ceiling insulation	Increasing share of energetic investments in complex
Legislative requirements	▪ ~158,000 units	▪ Attic insulation	refurbishments1 ~30% to >50%
	▪ ~9.7m sqm	▪ Facade insulation
Subsidy regimes		▪ Insulating glass windows	~5,000 units/year
Adequate proportion of investments to benefits		▪ Heating replacement and network optimization
	Carbon intensity 2020: 33 kg CO e/sqm 2	Target: >30% CO reduction 2	Carbon intensity 2040: 22 kg CO e/sqm 2

▪ Deutsche Wohnen will increase share of energetic refurbishments to EUR 1.5 bn to achieve >30% carbon reduction by 2040. Given the good condition of the building stock, this will be achievable at good returns

1) This relates purely to investments in building modernization. Measures relating to re-lettings and capitalized maintenance are not included.

EUR 0.5 bn investments to expand heat and power generation with low carbon footprint

1) Vattenfall, district heating supplier for Berlin, publicly announced to supply 100% climate-neutral generated heat for Berlin by 2050 at the latest.

Extensive project pipeline focused on sustainable new construction

• Creating a center-of-competence for new construction in Germany while focusing on sustainable building
• Ensuring sustainable approach through membership in the German Sustainable Building Council (DGNB) and the aspiration to strive for at least the Gold Standard
• Focusing on wood hybrid construction: Depending on the type of building wood hybrid construction for example releases 50–70¹ kg less CO² per sqm of floor area compared to conventional construction

Daumstraße-Berlin Deutsche Wohnen is planning a unique neighbourhood development with timber hybrid construction

• 287 apartments
• Smartliving applications
• eMobility with own mobility hub
• DGNB Gold Standard
• KfW 55 standard
• Cradle2Cradle approach
• Holistic energy concept
• Home office workstations for tenants

^© BRH Generalplaner GmbH

deutsche-wohnen.com Q1 2021 1) This is based on information from the DGNB and takes into account the various life cycle phases of a building over a 50-year period (production of the entire building component, energy use during operation, replacement of parts with a service life shorter than 50 years, etc.)

Generation of green energy in the neighborhood

Deutsche Wohnen has founded SYNVIA energy for the expansion of PV and the marketing of decentrally generated energy as tenant electricity

Note: The dynamics on the energy market cannot be estimated and accordingly our PV-expansion and connected calculations are a theoretical perspective taking into account the presumed developments on the energy market. Unpredictable changes in the electricity composition can affect the measures presented here.

Optimization potential for climate protection through building automation

g n di uil B	Potential benefits: Optimization and remote monitoring of technical systems increases energy efficiency, availability and customer satisfaction	Actions Deutsche Wohnen: ▪ Development and roll-out of a monitoring solution (dashboard) for heating systems ▪ Currently implemented in > 100 heating systems, target up to 2,000	Results: ▪ Transparency regarding condition of the heating systems ▪ Shorter reaction times in case of failure ▪ Detection of anomalies already before failure
nt a n e T	Potential benefits: If users are consistently supported by automations in the home, energy efficiencies can be demonstrably leveraged	Actions Deutsche Wohnen: ▪ Sample project MiA – My intelligent assistance system ▪ Installation of intelligent assistance system MiA in approx. 700 units	Results: ▪ After installation of automation, consumption of thermal energy actually decreases by up to 10%. ▪ Challenges: Tenant acceptance/building fabric

Improvement of energy efficiency of our properties

• Wide-ranging refurbishment measures with positive impact on energy efficiency of portfolio
• Energy efficiency of approx. 62% of residential properties better than the average for residential buildings in Germany (133.0 kWh/sqm per annum) 1
• Average consumption of our holdings at 125.1 kWh/sqm*a

Note: Energy efficiency based on the current energy performance certificate (EPC) of properties in relation to the gross internal floor area. Entire portfolio considered, excluding listed units for which no EPC is required 1) BMWi, 2019a, 107

Deutsche Wohnen – a socially reliable landlord who goes beyond legal requirements

✓ Implementation of EUR 30m Corona relief fund for our tenants and business partners in 2020

Key Achievements

• ✓ Since the beginning of the Corona pandemic no rental increases have been implemented and no tenant has lost his/her home because of late payment
• ✓ In 2020, around 30% re-lettings of residential units to tenants entitled to a certificate of eligibility to live in social-housing ("Wohnberechtigungsschein") to mitigate gentrification in urban areas
• ✓ Deutsche Wohnen provides affordable housing with an average monthly net cold rent of ~ EUR 400¹
• ✓ Regular annual tenant surveys to further improve tenant satisfaction and response times; based on latest survey 88% are satisfied with their apartment (2019: 87%) and 82% with Deutsche Wohnen as their landlord (2019: 78%)

Details on "Our promise to tenants"

▪ Our promise #1

No tenant will have to give up their apartment due to rent increases

▪ Our promise #2

No tenant will have to give up their apartment due to modernisation measures

▪ Our promise #3

In the new lettings process, we will let one in four apartments to tenants who are entitled to a certificate of eligibility for social housing

▪ Our promise #4

As part of the local community, we will fund social and non-profit projects promoting diverse and vibrant districts with several million euros a year

▪ Our promise #5

We intend to significantly invest in new construction to combat the housing shortage

1) ø EUR 6.53 in place rent per sqm/month and average apartment size of 60 sqm

Our concept for socially responsible climate protection in the property sector

• Initial situation
• Current refurbishment rate at around 1% not sufficient; at least 2.5% required to meet national climate goals
• Climate protection as a task for society as a whole, involving the state, companies and citizens
• The majority of tenants are in favor of climate protection, but are only willing / able to pay a limited amount
• Proposal to resolve conflicting goals of climate protection and affordability
• Funding through the Energy and Climate Fund (CO² pricing legislation by the German Federal Government)
• EUR 498 billion have to be invested in modernising residential properties for a carbon neutral building stock
• The financing model for energetic refurbishments relieves tenants by EUR 123 billion (EUR 4.1 billion a year)
• Deutsche Wohnen as host of a climate conference in October 2020
• Engagement with politics, science and economy
• Proposal combines economic, social and environmental aspects in the interest of tenants and landlords
• Socially responsible climate protection is possible in the property sector

Balancing climate costs through CO² pricing

Current legal situation

• National emissions trading system started in 2021 with a fixed path until 2025
• CO² tax currently forms part of recoverable expenses
• Politically, it is currently being discussed how the CO² tax should be shared between tenants and landlords

Our proposal for a socially acceptable solution

• Landlord continues to receive full refinancing for energy modernizations
• Tenants and landlords bear a share of the CO² costs, depending on the building energy efficiency
• Tenant is supported with modernization costs from CO² pricing funds

Year	2021	2022	2023	2024	2025	As of 2026
CO2 price in EUR/t	25	30	35	45	55	55–65

Our environmental and climate strategy

Responsible corporate management

	Gorporate Governance
Independent Supervisory Board	Management Board	Employees
▪ 1/3 are female ▪ Rejuvenation: Average age at 56 ▪ Average tenure at 6.7x (2016: 9.5 years)	▪ ESG is element of management remuneration as part of LTI ▪ LTI: 70% financial targets + 30% ESG targets ▪ ESG Targets: new ▪ 15% reduction carbon intensity per sqm ▪ 7.5% employer satisfaction based on employee satisfaction survey ▪ 7.5% customer satisfaction based on customer satisfaction survey ▪ 20% female quota until June 2025	▪ Approx. 50% of our employees are female ▪ At least 40% females in executive positions ▪ 77% of employees are happy with Deutsche Wohnen as an employer

Our contribution to the UN SDGs

• The health and well-being of our customers, employees and business partners is central to Deutsche Wohnen
• Holistic approach to health and well-being during refurbishments and new constructions
• Climate neutrality until 2040 with clear targets and goals
• Substantial investments into the building stock to reduce energy consumption and carbon emissions

• New constructions following DGNB-gold standard

• Electricity for stairwell and hallway/corridor lighting for approx. 90% of our letting portfolio and majority of our administrative locations entirely sourced from hydroelectric power

• Advancement of decentralized electricity generation and heating through photovoltaic and CHP plants

• Conversion of Deutsche Wohnen's car fleet to alternative drives

• Installation and operation of electric car charging stations and related infrastructure

• Installation of smart building technologies

• Commitment to making cities better places to live and strengthening social structures as an urban partner

• Continous engagement with residents, politicians and social organisations

• Supporting art, culture and sports

• Improvement of the micro-climate through shade producing trees and ecologic optimization of front yards

• Preservation of biological diversity by converting outdoor facilities in meadows and gardens
• Member of the Foundation 2° German Businesses for Climate Protection (Deutsche Unternehmer für Klimaschutz)
• Partner of the sector initative IW.2050 to combine climate protection activities in the housing industry
• Member of German Sustainable Building Council (DGNB)

CSR Ratings continuously improved

In 2021, Deutsche Wohnen SE received a rating of AA (on a scale of AAA-CCC) in the MSCI ESG Ratings assessment¹

1) The use by Deutsche Wohnen SE of any MSCI ESG Research LLC or its Affiliates ("MSCI") data, and the use of MSCI logos, trademarks, service marks or index names herein, do not constitute a sponsorship, endorsement, recommendation, or promotion of Deutsche Wohnen SE by MSCI. MSCI services and data are the property of MSCI or its information providers, and are provided 'as-is' and without warranty. MSCI names and logos are trademarks or service marks of MSCI.

Task force on Climate-related financial disclosure (TCFD)

• Deutsche Wohnen wants to contribute to fighting climate change. In this context we consider the impact of climate change on our company and want to analyse in greater depth going forward what the financial and non-financial opportunities and risks of climate change will be for us.
• We are guided in this endeavour by the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).
• As part of our strategic sustainability programme, we have therefore formulated the goal of preparing our own concept for integrating the TCFD recommendations into our Group reporting.

Management board remuneration system – from FY 2021

To be approved by the AGM 2021

ESG targets play an important role in the LTI

	Target remuneration		CEO max. EUR 5.5m new Board member max. EUR 3.5m
Base salary 40% – 45%	STI 20% – 25%	LTI 35% – 40%	new Malus/ Clawback: Partial or entire reclaim or retention of variable remuneration possible
▪ Fringe benefits ▪ No pension entitlements Share ownership guidelines: ▪ CEO: 3x annual base salary ▪ Board member: 1.5x base salary	1-year performance period (max. 125% of STI-target) Financial Targets 80% ▪ 50% EBITDA (adj.) ▪ 10% FFO I ▪ 10% Earnings from Disposals ▪ 10% Earnings from investments accounted at equity Individual Targets 20% new Financial or non-financial targets depending by area of responsibility	4-year performance period (max. 250% of LTI-target) Financial Targets 70% ▪ 30% total shareholder return performance (DW-shares vs. FTSE EPRA/NAREIT) ▪ 40% property yield (EPRA NTA growth and aggregated dividend yield on EPRA NTA) new ESG Targets 30% ▪ 15% reduction CO intensity per sqm 2 ▪ 7.5% employer satisfaction based on employee satisfaction survey ▪ 7.5% customer satisfaction based on customer satisfaction survey	new Severance payments Only in CoC event to max. 2x annual remuneration

Bridge from adjusted EBITDA to profit

in EUR m	Q1-2021	Q1-2020
EBITDA (adjusted)	208.6	187.8
Depreciation	(9.8)	(9.4)
At equity valuation	(5.8)	0.5
2 Financial result (net)	(32.8)	(51.2)2
2 EBT (adjusted)	160.2	127.72
properties2 Valuation	0.1	(0.5)2
Valuation gains due to Disposals	(18.8)	(8.9)
One-offs	8.0	(23.0)
Valuation SWAP and convertible bonds	75.6	29.6
EBT	225.1	124.9
Current taxes	(11.1)	(11.7)
Deferred taxes	(14.3)	12.2
Profit	199.7	125.4
Profit attributable to the shareholders of the parent company	196.3	122.8
per share1 Earnings	0.57	0.35

in EUR m	Q1-2021	Q1-2020
Interest expenses	(35.5)	(33.1)
In % of gross rents	16.3	15.7
capitalized2 Interest expenses	3.5	1.42
Non-cash interest expenses	(3.8)	(20.4)
Interest income	3.0	0.9
2 Financial result (net)	(32.8)	(51.2)2

Valuation result stems from signed disposals above recent book values

One-offs in Q1 2021 mainly result from the inclusion of profits from the disposal of Isaria to QUARTERBACK

1) Based on weighted average shares outstanding excluding own shares (2021: 343.77m ; 2020: 354.53m); 2) Prior year figures changed according to IAS 23 policy change

Summary balance sheet

	Assets	Equity and Liabilities
in EUR m	31/03/2021	31/12/2020
Investment properties	28,243.9	28,069.5
Other non-current assets	969.0	979.7
Derivatives	1.8	2.3
Deferred tax assets	0.0	0.0
Non current assets	29,214.7	29,051.5
Land and buildings held for sale	471.9	472.2
Trade receivables	76.1	35.9
Other current assets	742.9	654.5
Cash and cash equivalents	202.4	583.3
Current assets	1,493.3	1,745.9
Total assets	30,708.0	30,797.4

in EUR m	31/03/2021	31/12/2020
Total equity	14,040.9	13,832.8
Financial liabilities	6,439.3	6,525.1
Convertibles	1,697.3	1,768.7
Bonds	3,084.6	3,129.6
Tax liabilities	71.1	60.5
Deferred tax liabilities	4,427.9	4,412.0
Derivatives	44.0	57.3
Other liabilities	902.8	1,011.4
Total liabilities	16,667.1	16,964.6
Total equity and liabilities	30,708.0	30,797.4

▪ Investment properties represent ~92% of total assets

Strategic platform for residential project development

1) Pipeline (without buliding right); 2) Project development incl. building right; 3) incl. Hamburg (2%), Duesseldorf/Cologne (2%), Frankfurt a. M. (2%), other (7%)

Breakdown of Deutsche Wohnen's development exposure

Total economic share of c. 80% – substantially de-risked in view of zoning, exit and funding status

Illustrative structure and exposure breakdown											Comments
	Platform level	40%								Total				▪ − −	Two distinct ownership levels QUARTERBACK platform Project level
Project level	Economic Participation TIC/ Share of TIC			c. 60% 2.6 c. 38%	100% c. 80% 4.3 6.9 c. 62% c. 100%				▪ −	TIC of combined development portfolio amounts to EUR 6.9bn thereof EUR 4.3bn (62% of TIC) solely owned by Deutsche Wohnen
Project Status (in EUR bn/ % of total)	Project development Pipeline1 Pipeline <1y Pipeline 1–3y Pipeline >3y	1.9 27%	0.2 2%	0.5 8%	0.0 1%	2.2 32%	0.1 1%	1.2 18%	0.8 11%	4.1 59%	0.2 4%	1.7 25%	0.9 12%	− ▪	of which Deutsche Wohnen has a "look through" economic interest of c. 80% EUR 4.1bn (59% of TIC) classified as "project
Destination of use (in EUR bn/ % of total)	"Build-to-hold" "Build-to-sell"	2.2 38%				4.3 62%		0.1 <1%			4.3 62% 2.6 38%			▪	development", i. e. building right in place, remainder being "pipeline" "Build-to-hold" amounts to EUR 4.3bn (62% of TIC) whilst "build
✓ GRI of c. EUR 150m and expected NAV uplift of 15% for "build-to-hold" pipeline; outstanding investments Highlights of EUR 3.2bn, annual capex spent c. EUR 400–500m in coming years 2 ✓ Average development margin "build-to-sell" of c. 30% with almost 25% of projects already sold									to-sell" amounts for EUR 2.6bn (38% of TIC)

Notes: Differences due to rounding; 1) Pipeline classified according to expected time until obtaining building right; 2) Inlcuding 7 projects that have been sold to Deutsche Wohnen

Investment case built on quality locations

Focus on "top 8" cities in line with Deutsche Wohnen's enhanced investment strategy

						Overview	of	locations	and macro	data
Hamburg			City level										Relative
	Berlin	Key metrics	City region level	Berlin	Cologne	Dusseldorf	Frankfurt am Main	Hamburg	Munich	Stuttgart	Dresden/ Leipzig	Total Top 8 cities	development vs. Germany (avgerage)	Germany
			Total population and	3.7m #1	1.1m #4	0.6m #7	0.8m #6	1.8m #2	1.5m #3	0.6m #7	∑1.1m #5	11.2m 13.5%
		2019 rank		6.2m #1	3.4m #7	3.6m #4	3.7m #3	3.5m #5	4.4m #2	3.4m #6	∑3.2m #8	31.4m 37.8%		83.1m
	Dresden/Leipzig		Population growth	5.8%	3.9%	2.9%	6.4%	4.8%	3.8%	3.8%	6.4%	4.9%		2.4%
		(last 5y)1		4.4%	3.1 %	2.3%	4.6%	4.2%	4.2 %	3.8%	4.4%	3.9%
Frankfurt a. M.		GDP (EUR bn)2		145.5 4.4%	64.5 1.9%	50.4 1.5%	70.6 2.1%	118.9 3.6%	116.6 3.5%	57.4 1.7%	43.9 1.3%	670 20.0%
Stuttgart	Munich		% of German GDP	217.5 6.5%	171.3 5.6%	186.8 5.6%	232.2 6.9%	167.2 5.0%	310.2 9.3%	213.0 6.5%	112.6 3.4%	1,611 48.2%		3,344m
		Employment		17.4%	11.0%	10.5%	11.2%	9.3%	12.6%	8.6%	9.9%	11.2%
		development (last 5y)3		12.8%	10.1%	9.5%	10.4%	9.9%	12.7%	8.4%	8.7%	10.1%		8.3%

Deutsche Wohnen's investment portfolio in "top 8" cities

• Deutsche Wohnen dedicated development portfolio
• Existing branch locations

Dusseldorf

Cologne

With a share of 38% of total population, the "top 8" city regions represent c. 48% of total German GDP, outpacing the German average by all relevant fundamental metrics

Source: empirica regio; 1) 2014–2019 poplation growth; 2) As of 2018; 3) 2015–2020 growth

Significant value creation potential of pipeline

	TIC	NCR (per month)	Yield-on-TIC
Berlin	EUR 4,300/sqm	EUR 12.0/sqm	3.3%
(c. 5,700 units)	EUR 280k/unit	EUR 780/unit
Dresden/Leipzig	EUR 3,100/sqm	EUR 11.0/sqm	4.3%
(c. 6,000 units)	EUR 200k/unit	EUR 720/unit
Munich	EUR 5,600/sqm	EUR 18.0/sqm	3.8%
(c. 1,900 units)	EUR 360k/unit	EUR 1,170/unit
Stuttgart	EUR 6,000/sqm	EUR 20.0/sqm	4.0%
(c. 850 units)	EUR 300k/unit	EUR 1,300/unit

	Total development pipeline

Market prices constructed	Upside
FV	NCR (per month)	Yield
c. EUR 6,200/sqm	EUR 15.0/sqm	2.9%
c. EUR 4,300/sqm	EUR 11.0/sqm	3.1%
c. EUR 9,700/sqm	EUR 20.0/sqm	2.5%
c. EUR 7,700/sqm	EUR 17.0/sqm	2.5%

▪ Quality of pipeline locations driving substantial upside through market development of rents and yields

Note: Units based on apartments with an average size of 65 sqm for typical 2-person household; market prices for new construction based on CBRE data

Selection of various projects from QUARTERBACK pipeline with sustainable neighbourhood concepts and ambitious architecture

Strong generation of total shareholder return

• Deutsche Wohnen consistently generated high shareholder return based on capital growth and dividend payments
• Considering suggested dividend of EUR 1.03 per share, Deutsche Wohnen delivers a shareholder return for 2020 of EUR 6.81 or c. 14.5% of 2019 EPRA NAV

Disclaimer

This presentation contains forward-looking statements including assumptions, opinions and views of Deutsche Wohnen or quoted from third party sources. Various known and unknown risks, uncertainties and other factors could cause actual results, financial positions, the development or the performance of Deutsche Wohnen to differ materially from the estimations expressed or implied herein. Deutsche Wohnen does not guarantee that the assumptions underlying such forward-looking statements are free from errors nor do they accept any responsibility for the future accuracy of the opinions expressed in this presentation or the actual occurrence of the forecasted developments. No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and accordingly, none of Deutsche Wohnen SE or any of its affiliates (including subsidiary undertakings) or any of such person's officers, directors or employees accepts any liability whatsoever arising directly or indirectly from the use of this document. Deutsche Wohnen does not undertake any obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date of this presentation.

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